HP HP12C hp 12c_user's guide_English_E_HDPMBF12E44.pdf - Page 44

44 Section 3: Basic Financial Functions Example: What annual interest rate must be obtained to accumulate $10,000 in 8 years on an investment of $6,000 with quarterly compounding? Keystrokes fCLEARG 8\4§w 6000Þ$ 10000M ¼ 4§ Display 32.00 Calculates and stores n. -6,000.00 Stores PV (with minus sign for cash paid out). 10,000.00 Stores FV. 1.61 Periodic (quarterly) interest rate. 6.44 Annual interest rate. Calculating the Present Value 1. Press fCLEARG to clear the financial registers. 2. Enter the number of payments or periods, using n or A. 3. Enter the periodic interest rate, using ¼ or C. 4. Enter either or both of the following: z Payment amount, using P. z Future value, using M. Note: Remember to observe the cash flow sign convention. 5. If a PMT was entered, press g× or g to set the payment mode. 6. Press $ to calculate the present value. File name: hp 12c_user's guide_English_HDPMBF12E44 Printered Date: 2005/7/29 Page: 44 of 209 Dimension: 14.8 cm x 21 cm